Small business optimism grows

Tuesday, Aug. 10, 2004 | 9:07 a.m.

Optimism among small U.S. businesses rose to near an 18-year high in July, as expectations for the economy improved and more owners said they planned to increase spending and hiring, according to a private survey.

The National Federation of Independent Business's small- business optimism index rose to 105.9 last month from 103 in June. The index registered 106.9 in December, the highest since the group began keeping monthly figures in 1986. An index of 100 is set to a baseline year of 1986 and seasonally adjusted.

The survey showed that 35 percent of the small businesses expected an increase in sales adjusted for inflation compared with 26 percent a month earlier.

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